Aptiv (APTV) risk factors: FY2025 10-K

1. Disruptions in the supply of raw materials and other supplies that we and our customers use in our products may adversely affect our profitability.
2. The cyclical nature of automotive sales and production can adversely affect our business.
3. A prolonged recession and/or a downturn in global automotive sales could adversely affect our business and cause us to require additional sources of financing to continue our operations, which may not be available to us or be available only on materially different terms than what has historically been available.new
4. A drop in the market share and changes in product mix offered by our customers can impact our revenues.
5. Our business in China is subject to aggressive competition and is sensitive to economic and market conditions.China
6. We operate in the highly competitive automotive technology and component supply industry, and are dependent on the acceptance of new product introductions for continued growth.
7. If we do not respond appropriately, the evolution of the automotive industry towards autonomous vehicles and mobility on demand services could adversely affect our business.
8. We have invested substantial resources in markets and technologies where we expect growth and we may be unable to timely alter our strategies should such expectations not be realized.
9. We may not be able to respond quickly enough to changes in regulations, technology and technological risks, and to develop our intellectual property into commercially viable products.
10. Certain of our businesses rely on relationships with collaborative partners and other third-parties for development of products and potential products, and such collaborative partners or other third-parties could fail to perform sufficiently.
11. Declines in the market share or business of our five largest customers may adversely impact our revenues and profitability.
12. We may not realize sales represented by awarded business.
13. Continued pricing pressures, OEM cost reduction initiatives and the ability of OEMs to re-source or cancel vehicle programs may result in lower than anticipated margins, or losses, which may have a significant negative impact on our business.
14. Our supply agreements with our OEM customers are generally requirements contracts, and a decline in the production requirements of any of our customers, and in particular our largest customers, could adversely impact our revenues and profitability.
15. Our inability to effectively manage the timing, quality and costs of new program launches could adversely affect our financial performance.new
16. Adverse developments affecting one or more of our suppliers could harm our profitability.
17. The discontinuation or loss of business, or lack of commercial success with respect to a particular product for which we are a significant supplier could reduce our sales and harm our profitability.new
18. Increases in costs of the materials and other supplies that we use in our products may have a negative impact on our business.
19. Our hedging activities to address commodity price fluctuations may not be successful in offsetting future increases in those costs or may reduce or eliminate the benefits of any decreases in those costs.
20. We may encounter manufacturing challenges.
21. Changes in factors that impact the determination of our non-U.S. pension liabilities may adversely affect us.
22. We may suffer future asset impairment and other restructuring charges, including write downs of long-lived assets, goodwill, or intangible assets.
23. Employee strikes and labor-related disruptions involving us or one or more of our customers or suppliers may adversely affect our operations.
24. Public health crises and other global health pandemics, epidemics and disease outbreaks and the measures taken in response thereto could adversely impact our business, financial condition, results of operations and cash flows.
25. We are exposed to foreign currency fluctuations as a result of our substantial global operations, which may affect our financial results.
26. We face risks associated with doing business in various national and local jurisdictions.
27. If we fail to manage our growth effectively or to integrate successfully any new or future business ventures, acquisitions or strategic alliance into our business, our business could be materially adversely harmed. In addition, the failure to realize the expected benefits of any past or future acquisition could adversely affect our business.
28. We face risks related to cybersecurity for both our infrastructure and products and any cybersecurity breach or failure of one or more key information technology systems, or those of third-parties with which we do business could have a material adverse impact on our business or reputation.Cybersecurity

Read these in Item 1A · See the changes

1. We may incur material losses and costs as a result of warranty claims, product recalls, product liability and intellectual property infringement actions that may be brought against us.
2. We may be adversely affected by laws or regulations, including environmental, health and safety and climate change, regulation, litigation or other liabilities.
3. We may identify the need for additional environmental remediation or demolition obligations relating to facility divestiture, closure and decommissioning activities.
4. We are involved from time to time in legal proceedings and commercial or contractual disputes, which could have an adverse impact on our profitability and consolidated financial position.
5. Developments or assertions by us or against us relating to intellectual property rights could materially impact our business.
6. Taxing authorities could challenge our historical and future tax positions.
7. Changes in tax laws, tax rates and adverse positions taken by taxing authorities could impact operating results.new
8. Our tax burden could increase as a result of ongoing or future tax audits.new
9. Our ability to use deferred tax assets may be subject to limitation.new

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1. We may be subject to various Swiss taxes as a result of the reorganization transaction.
2. Planned Spin-off of Electrical Distribution Systems Business
3. We are pursuing a plan to separate our Electrical Distributions Systems business into an independent, publicly traded company. The proposed Separation is contingent upon the satisfaction of a number of conditions, may not be completed on the currently contemplated timeline, or at all, and may not achieve the intended benefits.
4. If our distribution of the shares of Versigent to our shareholders fails to qualify as tax-free for U.S. federal income tax purposes, certain of our subsidiaries and our U.S. shareholders could be subject to significant tax liabilities.new

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1. Any changes in consumer credit availability or cost of borrowing could adversely affect our business.
2. We may lose or fail to attract and retain key salaried employees and management personnel.

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Headings in the FY2024 10-K with no match this year.

1. A prolonged economic downturn or economic uncertainty could adversely affect our business and cause us to require additional sources of financing, which may not be available.
2. The loss of business with respect to, or the lack of commercial success of, a vehicle model for which we are a significant supplier could adversely affect our financial performance.